United Kingdom: Consumers stay gloomy in April
The GfK consumer confidence indicator registered minus 13 points in April for the third straight month. The index therefore remained in negative territory, where it has been since April 2016, highlighting that consumers are broadly pessimistic.
April’s reading was underpinned by more pessimism regarding personal finances and a reduced willingness to make major purchases, which offset less pessimism regarding the general economic situation.
Going forward, consumer sentiment is unlikely to see a significant improvement until the cloud of uncertainty currently surrounding the Brexit withdrawal process is lifted. A swift resolution to the Brexit impasse would likely boost consumer sentiment and private consumption.